U.S. paper currency is considered representative commodity money because it can be redeemed for gold by the U.S. government
Indicate whether the statement is true or false
FALSE
You might also like to view...
In a perfectly competitive industry, when a firm is producing so that its total revenue equals its total cost, the firm is
A) making an economic profit. B) incurring an economic loss. C) making zero economic profit. D) definitely not maximizing its profit. E) None of the above answers is correct because the relationship between total revenue and total cost has nothing to do with the firm's profit or loss.
Depreciation refers to a decrease in the value of a durable good caused by: a. an increase in the price level. b. changes in the interest rate
c. wear and tear over time. d. changes in tax laws. e. a decrease in its resale value.
Suppose a firm overpays its workers at the start of the job, and then the firm slowly lowers wages over time until eventually the firm pays the workers considerably less than the worker's marginal product of labor. What prevents this "reverse of a delayed-compensation scheme" from being implemented?
A. The firm would need to enforce a mandatory retirement age, which is illegal in the United States. B. Workers would leave the job as soon as the firm tried to pay the worker less than his or her value of marginal product. C. Workers prefer wages to increase over time. D. The workers would never have an incentive to invest in general training. E. The firm would fire the worker as soon as the worker's value of marginal product exceeded the worker's wage.
Use a pizza pie analogy to discuss the trade off between income equality and economic efficiency
What will be an ideal response?